Greece warns on euro exit if bailout not signed

Conrad

ILW wrote: »

OK as you seem to have the answers please tell me how they can solve their problems assuming the facts as follows:

Greece spends more than it earns every year (even excluding int on past debt.

It has no viable way of increasing it's income.

It is not prepared to decrease its public spending to below its income.

According to a left wing poster in discussion time here, we should write off the debt. As ever with the left, soooo simplistic.

So many problems with writing off debt such as;

1) It may precipitate copy cat action by other states
2) Our pension schemes that leant to these countries will take a hit meaning pensioners here suffer - how is this fair?
3) The lending markets take a pummeling so lend even less than now which tips us all into deeper doo doo which costs even more jobs and bad outcomes for ordinary folk.


Dont forget with left wingers the answer is always to simply spend more money.

ILW

Conrad wrote: »

According to a left wing poster in discussion time here, we should write off the debt. As ever with the left, soooo simplistic.

So many problems with writing off debt such as;

1) It may precipitate copy cat action by other states
2) Our pension schemes that leant to these countries will take a hit meaning pensioners here suffer - how is this fair?
3) The lending markets take a pummeling so lend even less than now which tips us all into deeper doo doo which costs even more jobs and bad outcomes for ordinary folk.


Dont forget with left wingers the answer is always to simply spend more money.

Even if their debt was written off, they would still be spending more than they take in taxes, so would just run up more debt. (That is if anyone was daft enought to lend to them)